This page (revision-24) was last changed on 26-Nov-2021 10:22 by jmyers

This page was created on 26-Nov-2021 10:22 by jmyers

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21 26-Nov-2021 10:22 18 KB jmyers to previous | to last

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US Railroad Taxation
US Railroad Taxation

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At line 104 changed one line
For groups for Railroad Employment, the Registration tab in [IDGR] must have the W2 Employment Type field set to 'Railroad' along with the appropriate [IDGV] Government registrations.
For groups for Railroad Employment, the Registration tab in IDGR must have the W2 Employment Type field set to 'Railroad' along with the appropriate [IDGV] Government registrations.
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*After the groups are defined for Railroad Employment, the jobs and/or positions that use these groups can be defined.
*After the groups are defined for Railroad Employment, the jobs and/or jositions that use these groups can be defined.
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*The Railroad tax methods must be set up for each Railroad employee on [IPRLU] screen.
*The Railroad tax methods must be set up for each Railroad employee on IPRLU screen.
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*Once all the groups have been defined for the Railroad employment and [IEAS] has been set up to pay employees with the Railroad Employment groups, a fix up script can be run to populate the [IPRLU] Railroad tax method with the default method of 'Self Adjust'. This script is called __fix_IPRLU_Railroad_default.sql__\\%%information Please note that fix_IPRLU_Railroad_default.sql only populates the Railroad tax methods, the IPRLU record must first be created.%%
*Once all the groups have been defined for the Railroad employment and IEAS has been set up to pay employees with the Railroad Employment groups, a fix up script can be run to populate the IPRLU Railroad tax method with the default method of 'Self Adjust'. This script is called __fix_IPRLU_Railroad_default.sql__
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The following is a list of the database columns used for Railroad Tax calculation:
- note: fix_IPRLU_Railroad_default.sql only populates the Railroad tax methods, user must first create the IPRLU record\\ \\
The following is a list of the Database columns used for Railroad Tax calculation:
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The Railroad tax methods may be overridden by the Pay Categories on [IPPGU] screen.
The Railroad tax methods may be overiden by Pay Categories on [IPPGU] screen.
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Because the Railroad Unemployment Insurance (RUIA) is calculated at a rate up to the Monthly Maximum Earnings, the MTD toggle on [IPPR] must be turned on in order to maintain the MTD values.
Because the Railroad Unemployment Insurance (RUIA) is calculated at a Rate up to a Monthly Maximum Earnings, the user must turn ON the MTD Toggle on IPPR screen in order to maintain the MTD values.
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*When an employee is paid with the [IEAS] assignment for the group that points to the Railroad W2 Employment Type, this employee's Pay Header is subject to Railroad Tax calculation.
*The Pay Header's group determines if this pay should calculate the Railroad tax.
*The [IPRLU] screen defines each Railroad Tax method that is eligible for this employee.
*[UPCALC] retrieves all Taxable Earnings according to [IPCU] Railroad PC Usages and passes that on to Vertex in order to calculate the Railroad taxation.
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When an employee is paid with the IEAS Assignment for the Group that points to the Railroad W2 Employment Type, this employee's Pay Header is subject to Railroad Tax calculation.
- the Pay Header's Group determines if this pay should calculate the Railroad Tax
- the IPRLU screen defines each Railroad Tax method that is eligible for this employee
- UPCALC retrieves all Taxable Earnings according to IPCU Railroad PC Usages and pass to Vertex to calculate Railroad taxation
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*There are different Annual Maximum earnings and rates for different Railroad tax calculations.
*There are different Annual Maximum Earnings and Rates for different Railroad tax calculation
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*When an employee is paid throughout the year of 2008, the employee will first reach the Tier2 maximum earnings $75,900 and thus the Tier2 contribution will stop, then the employee will reach the OASDI maximum of $102,900 while the Medicare portion will continue with no Base limit.
*The Railroad Unemployment Insurance (RUIA) has a Monthly Maximum Wage Base of $1280 per month, thus the MTD Earnings and contributions are passed to Vertex to determine if the RUIA Maximums are reached for each month.
*When an employee is paid throughout the year of 2008, the employee will first reach the Tier2 maximum earnings $75,900 and thus Tier2 contribution will stop, then the employee will reach the OASDI maximum of $102,900 while the Medicare portion will continue with no Base limit
*The Railroad Unemployment Insurance (RUIA) has a Monthly Maximum Wage Base of $1280 per month, thus the MTD Earnings and contributions are passed to Vertex to determine if the RUIA Maximums are reached for each month
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*An employee can transfer to and from a Railroad employment by just changing the [IEAS] Assignment position with an effective date change.
*When the Pay Headers are generated from this assignment, the effective Assignment group will be used and therefore the Railroad tax will be calculated accordingly.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums.
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*An employee can transfer to and from Railroad Employment by just changing the IEAS Assignment Position with an effective date change
*When the Pay Headers are generated from this Assignment, the effective Assignment Group will be used and therefore the Railroad tax will be calculated accordingly
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
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*An employee may be assigned with an additional assignment in order to perform either regular or railroad type of work throughout the year.
*When the employee is paid with either assignment, the Pay Header's group determines if the Railroad tax should be calculated.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximums.
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!IEEI - Transfer with Different Employments
*An employee can be terminated and re-hired in different employments.
*An employee may be assigned with an additional Assignment to perform Regular or Railroad type of work throughout the year
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For Employment with Hire Date of '01-Sep-2000', the [IEAS] Assignments are defined for this Employment.
*When the employee is paid with either Assignment, the Pay Header's group determines if the Railroad tax should be calculated
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*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
!IEEI - Transfer with different Employments
An employee can be terminated and re-hired in a different Employments.
For Employment with Hire Date of '01-Sep-2000', the IEAS Assignments are defined for this Employment.
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*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximums.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
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*For an employment with Hire Date of '01-Jan-2002', the [IEAS] Assignments are defined for the employment.
For Employment with Hire Date of '01-Jan-2002', the IEAS Assignments are defined for this Employment.
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*When Pay Headers are entered for this assignment, the assignment's group is used to determine if the Railroad Tax should be calculated.
When Pay Headers are entered for this Assignment, the Assignment Group is used to determine if the Railroad Tax should be calculated.
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*When the employee is paid with either Employments, the Pay Header's group determines if the Railroad tax should be calculated.
*When the employee is paid with either Employments, the Pay Header'™s group determines if the Railroad tax should be calculated
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*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximum.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
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__From W2 Form instructions:__
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*Box 14 is used to report RRTA (Railroad Retirement Tax Act) Tier1 and Tier2 employee taxes.
From W2 Form Instructions:
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*When reporting the Railroad Employees information, Box 3, 4, 5, 6, 7 Social Security Information should be zero.
*Box 14 is used to report RRTA (Railroad Retirement Tax Act) Tier1 and Tier2 employee taxes
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*When an employee has contributions to both the Railroad and Regular employments, then Box 3, 4, 5, 6, 7 Social Security Information should be reported. This is used for the scenario when an employee is transferred between Railroad and Regular employments.
*When reporting the Railroad Employees information, Box 3, 4, 5, 6, 7 Social Security Information should be zero
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[IDFDV] Identifiers W2-OTHER-01 to W2-OTHER-nn Box 14 Information must be set up for Railroad TIER1 and TIER2 taxes as follows:
*When an employee has contributions to both the Railroad and Regular Employments, then Box 3, 4, 5, 6, 7 Social Security Information should be reported, this is the case when employee is transferred to and from Railroad and Regular Employments
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__From EFW2 File Instructions:__
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*A different Code RE Employer Record must be generated by the W2 Employment Type
*Railroad Employees who have been paid by the Code RE Federal Registration# and W2 Employment Type must be grouped and reported under this RE record.
*Social Security and Medicare information should be zero filled for these employees.
*Information from Box 14 is not reported on EFW2 File.
User must set up IDFDV Identifiers W2-OTHER-01 to W2-OTHER-nn Box 14 Information for Railroad TIER1 and TIER2 taxes as follows:
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From EFW2 File Instructions:
- different Code RE Employer Record must be generated by the W2 Employment Type
- Railroad Employees who have been paid by this Code RE Federal Registration# and W2 Employment Type must be grouped and reported under this RE record
- Social Security and Medicare information should be zero filled for these employees
- Box 14 information are not reported on EFW2 File
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*When RPYEU is run, the [IPVT] Group code is used to retrieve the W2 Employment Type to be reported.
*Employee 507 will be reported under both Regular and Railroad Employment.
*When reporting the Regular Employment, the Box 3, 4, 5, 6 Social Security Information will be retrieved from [IPVT] for the Regular Employment Group which had calculated the Social Security taxes throughout the year.
*Box 14 Railroad taxes will not be reported because the Regular Employment Group will not calculate Railroad taxes.
*When reporting the Railroad Employment, the Box 3, 4, 5, 6 Social Security Information will not be retrieved from [IPVT] for the Railroad Employment Group because the Social Security taxes have not been calculated throughout the year.
*Box 14 Railroad taxes will be reported because the Railroad Employment Group has been calculated the Railroad taxes.
%%information Note that Box 7 SOC SEC TIPS are calculated and set up by users. This report is an example only, should not be used to calculate for Railroad employees%%
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*When RPYEU is run, IPVT Group Code is used to retrieve the W2 Employment Type to be reported
*Employee 507 will be reported under Regular Employment and Railroad Employment.
*When reporting the Regular Employment, the Box 3, 4, 5, 6 Social Security Information will be retrieved from IPVT of the Regular Employment Group which had calculated the Social Security taxes throughout the year
*Box 14 Railroad taxes will not be reported because the Regular Employment Group will not calculate Railroad taxes
*When reporting the Railroad Employment, the Box 3, 4, 5, 6 Social Security Information will not be retrieved from IPVT of the Railroad Employment Group because the Social Security taxes have not been calculated throughout the year
*Box 14 Railroad taxes will be reported because the Railroad Employment Group has been calculated the Railroad taxes
%%information Note that Box 7 SOC SEC TIPS are calculated and set up by users, this report is an example only, user should not calculate this for Railroad employees%%
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For Regular Employment:
Box 3, 4, 5, 6 Social Security Information will be printed
Box 14 Railroad information will not be printed
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For Regular Employment:\\
Box 3, 4, 5, 6 Social Security Information will be printed\\
Box 14 Railroad information will not be printed\\ \\
For Railroad Employment:\\
Box 3, 4, 5, 6 Social Security Information will not be printed\\
For Railroad Employment:
Box 3, 4, 5, 6 Social Security Information will not be printed
This page (revision-24) was last changed on 26-Nov-2021 10:22 by jmyersTop